Business News of 2014-02-20

Economist asks Prez Mahama to review 2014 budget

Economist with the Institute of Statistical, Social and Economic Research (ISSER), Dr Robert Osei is encouraging President Mahama to use the State of the Nation address to announce plans to review the 2014 budget.
The Minority’s Spokesperson on Finance, Dr. Anthony Osei Akoto has advised government to revise the expenditure estimates in the 2014 budget to reflect the changes in the exchange rate and other economic variables since the beginning of the year.
This, according to him, is critical to prevent any further widening of the budget deficit. Dr. Robert Osei also tells Joy Business, the review is important to maintain the significance of the budget.
“We should be able to signal to agents that we are serious about dealing with the underlining challenge that the economy faces today that has to do with the fiscal...the exchange challenges also mean that we are actually going to have inflation which is likely to be higher than we anticipated when we did the projection for our spending. And so I think there is good a reason for us to try and address the spending.”
He however downplayed suggestions this might be more demanding for government.